Nowadays, the automobile is the
most important and needy way of personal transportation for billions of people
around the whole world, especially in developed countries where people mostly
dependent on their cars and trucks to travel to and from work, to run , to
transport goods, to visit friends and relatives, and to travel. The increasing
numbers of automobiles that are produced and sold has made the automobile
markets a global giant.
The auto market in Dubai has highly growing up from the beginning. The
production of about 1million vehicles in last years, Dubais auto market was
ranked in the top largest manufacturer of automobiles in the world. After the
booming economy, there has been a high demand for branded domestic as well as
for the foreign auto markets, which has almost wiped the foreign used cars auto
market in Dubai.
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The increase in the demand of foreign branded auto markets has gone far beyond
the best of the predictions made by Dubais auto market. In the long term, auto
market in Dubai is a better auto market for both productions and sales and even
branded automobiles. As the research, sale of new cars will reach 2.5 million in
Dubai by 2015. Also, some of international and foreign suppliers have their own
products in the country. But it's a small amount of products compared to Dubais
auto market products.
Modernizing auto markets also offers new opportunities for Dubai auto market and
auto mobile suppliers too. But also local automobile markets and auto suppliers
are modernizing their processes and products. Foreign markets have to take a
stake to modernize the auto mobile market in Dubai. Foreign suppliers can take
Dubais auto market technology, will upgrade themselves more efficient
production processes and introduce good quality management according to
nowadays. So for this auto mobile market in Dubai will get access to foreign
customers and local automobile markets.
Auto market in Dubai put effort into easing the pressure of substitutes like
transport. Customers will get the benefits of Dubais auto markets largest-ever
investment in fuel-efficient power autos. Ford launched nine new engines and six
new six-speed transmissions. Dubais auto market is on track to deliver fuel
saving six speed transmissions across most of its lineup of Dubais automobiles.
There are absolute high barriers to get enter in auto market of Dubai. Very few
new players or foreigners are capable of venturing into the auto market in Dubai
because it requires a highly investment to set up production facilities and a
distribution links. More, the fact that existing multi-national competitors
benefit from economies of scale and sailing, makes it very difficult for a new
person to offer competitive pricing and sale. Because of the issues of safety,
reliability and durability are so salient, and because buyers and purchasers
base their demands of a model on the manufacturer's previous performance on
these issues, a new person will have extreme difficulties competing. It takes
much time to a new person to build a strong enough reputation to be competitive.
All of these factors and demands make the threat of new person in auto market of
Dubai.